This article shall be known as the "Realty Transfer
Tax Ordinance of the Township of Lehigh."
A realty transfer tax for general revenue purposes
is hereby imposed upon the transfer of real estate or interest in
real estate situated within the Township of Lehigh, regardless of
where the documents making the transfer are made, executed or delivered,
or where the actual settlements on such transfer took place as authorized
by Article XI-D, "Local Real Estate Transfer Tax," 72 P.S. § 8101-D
et seq.
[Amended 5-13-2003 by Ord. No. 2003-1]
As used in this article, the words and phrases
defined in 72 P.S. § 8101-C shall have the meanings ascribed
to them in said section.
[Added 3-11-2008 by Ord. No. 2008-2]
A. Imposition
of tax. Lehigh Township adopts the provisions of Article XI-D of the
Tax Reform Code of 1971 and imposes a realty transfer tax as authorized
under that article to the rate limitations therein. The tax imposed
under this section shall be at the rate of 1%.
B. Administration. The tax imposed under Subsection
A and all applicable interest and penalties shall be administered, collected and enforced under the Act of December 31, 1965 (P.L. 1257, No. 511), as amended, known as the "Local Tax Enabling Act," provided that if the correct amount of the tax is not paid by the last date prescribed for timely payment, Lehigh Township, pursuant to Section 1102-D of the Tax Reform Code of 1971 (72 P.S. § 8102-D), authorizes and directs the Department of Revenue of the Commonwealth of Pennsylvania to determine, collect and enforce the tax, interest and penalties.
C. Interest. Any tax imposed under Subsection
A that is not paid by the date the tax is due shall bear interest as prescribed for interest on delinquent municipal claims under the Act of May 16, 1923 (P.L. 207, No. 153) (53 P.S. §§ 7101 et seq.), as amended, known as the "Municipal Claims and Tax Liens Act." The interest rate shall be the lesser of the interest rate imposed upon delinquent commonwealth taxes as provided in Section 806 of the Act of April 9, 1929 (P.L. 343, No. 176) (72 P.S. § 806), as amended, known as "the Fiscal Code" or the maximum interest rate permitted under the Municipal Claims and Tax Liens Act for tax claims.
The United States, the commonwealth, or any
of their instrumentalities, agencies or political subdivisions shall
be exempt from payment of the tax imposed by this article. The exemption
of such governmental bodies shall not, however, relieve any other
party to a transaction from liability for the tax.
Except as otherwise provided in §
151-25, documents which make, confirm or evidence any transfer or demise of title to real estate between associations or corporations and the members, partners, shareholders or stockholders thereof are fully taxable. For the purposes of this article, corporations and associations are entities separate from their members, partners, stockholders or shareholders.
In determining the term of a lease, it shall
be presumed that a right or option to renew or extend a lease will
be exercised if the rental charge to the lessee is fixed or if a method
for calculating the rental charge is established.
The tax herein imposed shall be fully paid,
and have priority out of the proceeds or any judicial sale of real
estate before any other obligation, claim, lien, judgment, estate
or costs of the sale and of the writ upon which the sale is made except
the state realty transfer tax, and the sheriff, or other officer,
conducting said sale, shall pay the tax herein imposed out of the
first moneys paid to him in connection therewith. If the proceeds
of the sale are insufficient to pay the entire tax herein imposed,
the purchaser shall be liable for the remaining tax.
Every document lodged with or presented to the
Recorder of Deeds for recording, shall set forth therein and as a
part of such document the true, full and complete value thereof, or
shall be accompanied by a statement of value executed by a responsible
person connected with the transaction showing such connection and
setting forth the true, full and complete value thereof or the reason,
if any, why such document is not subject to tax under this article.
A copy of the Pennsylvania Realty Transfer Tax Statement of Value
may be submitted for this purpose. The provisions of this subsection
shall not apply to any excludable real estate transfers which are
exempt from taxation based on family relationship. Other documents
presented for the affixation of stamps shall be accompanied by a certified
copy of the document and statement of value executed by a responsible
person connected with the transaction showing such connection and
setting forth the true, full and complete value thereof or the reason,
if any, why such document is not subject to tax under this article.
The tax imposed by this article shall become
a lien upon the lands, tenements, or hereditaments, or any interest
therein, lying, being situated, wholly or in part within the boundaries
of the Township of Lehigh, which lands, tenements, hereditaments,
or interest therein, are described in or conveyed by or transferred
by the deed which is the subject of the tax imposed, assessed and
levied by this article, said lien to begin at the time when the tax
under this article is due and payable, and continue until discharge
by payment, or in accordance with the law, and the solicitor is authorized
to file a municipal or tax claim in the Court of Common Pleas of Northampton
County, in accordance with the provisions of the Municipal Claims
and Liens Act of 1923, 53 P.S. § 7101 et seq., its supplements
and amendments.
All taxes imposed by this article together with
interest and penalties prescribed herein, shall be recoverable as
other debts of like character are recovered.
The Chairman of the Board of Supervisors of
the Township of Lehigh is charged with enforcement and collection
of the tax. The regulations which have been promulgated by the Pennsylvania
Department of Revenue under 72 P.S. § 8101-C et seq. are
incorporated into and made a part of this article.